I never trade DXY but is always a good idea to analyze it to have a better view on how it's going to affect the usd pairs. Looking at the 4h chart we may see that price is testing the lower trenline of a rising wedge pattern and is about to break below it. In this case we should wait for a sell setup to complete before selling. There is also one more scenario that it might bounce from the lower trendline, moving up for another wave and then drop and break below ( blue arrows)
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